International Sustainable Competitiveness Advantage

2021

THE INFLUENCE OF INTELLECTUAL CAPITAL,

IMPLEMENTATION OF SHARIA PRINCIPLES, AND
COMPANY AGE ON THE FINANCIAL PERFORMANCE OF
ISLAMIC COMMERCIAL BANKS IN INDONESIA
Fathin Syifayani 1*, Ade Banani2, Rio Dhani Laksana3
1*
Universitas Jenderal Soedirman, fathin.syifayani@mhs.unsoed.ac.id, Indonesia
2
Universitas Jenderal Soedirman, a.banani@yahoo.com, Indonesia
3
Universitas Jenderal Soedirman, rio_dhani@yahoo.com, Indonesia
*corresponding author

ABSTRACT

This study aims to determine the effect of intellectual capital, implementation of sharia principles, and
company age on financial performance of Islamic Commercial Banks in Indonesia. The population in this
study were all Islamic Commercial Banks in Indonesia registered with the Financial Services Authority
from 2014 to 2018, which in total amounted to 14 banks. The sample banks in this study were taken using
purposive sampling method. Based on this method, the number of banks that meet the selection criteria is
7 banks. The data were analyzed using multiple linear regression analysis techniques. Hypothesis of this
study indicate that: (1) Intellectual Capital has a positive effect on the financial performance of Sharia
Commercial Banks in Indonesia; (2) Islamic Income has a positive effect on financial performance of
Sharia Commercial Banks in Indonesia; (3) Profit Sharing Financing has a positive effect on financial
performance of Sharia Commercial Banks in Indonesia; (4) Zakat has a positive effect on financial
performance of Sharia Commercial Banks in Indonesia; (5) Bank Age has a positive effect on financial
performance of Sharia Commercial Banks in Indonesia.

Keywords: Intellectual Capital, Islamic Income, Sharia Principles, Bank Age, Financial Performance